PTBA, Pusri plan to build coal gasification plant

IDX-listed coal producer PT Bukit Asam (PTBA) and state-owned fertilizer company PT Pupuk Sriwijaya Palembang (Pusri) will build a coal gasification plant to take advantage of the company?s huge reserves of low-grade coal, The Jakarta Post reported on Saturday.

PTBA?s president director Milwarma said that the feasibility study for planned coal gasification plant was currently underway.

?The plant will be designed to process coal into gas. If we have the technology we could also produce various by-products from coal such as methanol and dimethyl ether [DME],? Milawarma said.

He said that by entering the coal gasification business, PTBA would be able to use the company?s large reserves of low-grade coal, which had not been fully used. Gas produced from the plant would be supplied to Pusri for fertilizer production, he added.(*)